A Business Opportunity Issue in PRINCE2 7 is a type of issue that represents a potential benefit or advantage that was not originally planned or anticipated when the project was initiated. Unlike problems or concerns that need resolution, a business opportunity is a positive development that could …A Business Opportunity Issue in PRINCE2 7 is a type of issue that represents a potential benefit or advantage that was not originally planned or anticipated when the project was initiated. Unlike problems or concerns that need resolution, a business opportunity is a positive development that could enhance the project's value, scope, or outcomes if properly pursued and managed.
Within the Issues Practice of PRINCE2 7, business opportunities are formally captured and assessed through the issue management procedure. When someone identifies a potential opportunity, it is logged in the Issue Register with appropriate details including its description, potential impact, and recommended actions.
The key characteristics of a Business Opportunity Issue include: it represents something beneficial rather than detrimental to the project; it typically requires a change to the project baseline to be realised; it needs proper evaluation to determine if pursuing it aligns with the business case; and it must be assessed against the project's tolerances and constraints.
When a business opportunity is identified, the Project Manager evaluates its potential value against the cost and effort required to implement it. If the opportunity falls within the Project Manager's delegated authority, they may approve it. However, if implementing the opportunity would exceed stage or project tolerances, it must be escalated to the Project Board through an Exception Report or included in a request for change.
The Project Board ultimately decides whether to pursue significant business opportunities by considering factors such as alignment with corporate strategy, return on investment, impact on project timelines, and resource availability. This ensures that valuable opportunities are not missed while maintaining appropriate governance and control over project changes. Proper management of business opportunities demonstrates PRINCE2's flexibility in adapting to changing circumstances while preserving project integrity.
Business Opportunity Issue in PRINCE2 v7 - Complete Guide
What is a Business Opportunity Issue?
A Business Opportunity Issue is one of the three types of issues recognized in PRINCE2. It represents an issue that, if implemented, could bring additional benefits to the project beyond what was originally planned. Unlike problems or concerns, a business opportunity is a positive situation that could enhance project value.
Why is Business Opportunity Issue Important?
Understanding business opportunity issues is crucial because:
• It allows projects to capture unexpected value and benefits • It demonstrates proactive management rather than reactive problem-solving • It ensures potential improvements are formally assessed and considered • It maintains alignment between project delivery and business objectives • It provides a structured way to evaluate changes that could increase ROI
How Business Opportunity Issues Work
When a business opportunity is identified:
1. Capture: The opportunity is logged in the Issue Register with the issue type recorded as 'Business Opportunity'
2. Examine: The Project Manager assesses the opportunity's potential impact, considering benefits, costs, risks, and alignment with objectives
3. Propose: If the opportunity warrants further action, it may be escalated or converted into a formal change request
4. Decide: The appropriate authority (Project Manager, Project Board, or Change Authority) decides whether to pursue the opportunity
5. Implement: If approved, necessary changes are incorporated into project plans
Relationship to Other Issue Types
PRINCE2 recognizes three issue types: • Request for Change - A proposal to change a baseline • Off-Specification - Something that should be provided but is not or will not be • Problem/Concern - Any other issue requiring resolution
A business opportunity typically starts as a problem/concern but may evolve into a request for change if pursuing the opportunity requires baseline modifications.
Exam Tips: Answering Questions on Business Opportunity Issues
Key Points to Remember:
• Business opportunities are positive issues that could add value • They are recorded in the Issue Register, not a separate log • The Project Manager is responsible for initial assessment • Business opportunities may need to become Requests for Change to be implemented • Always consider the Business Case impact when evaluating opportunities
Common Exam Scenarios:
• Questions asking you to identify which issue type applies to a given situation • Scenarios where you must determine the correct procedure for handling an opportunity • Questions about who has authority to approve pursuing an opportunity
Watch Out For:
• Confusing business opportunities with requests for change - an opportunity is identified first, then may become a change request • Forgetting that opportunities still require formal assessment and approval • Assuming all opportunities should be pursued - they must be evaluated against project constraints and the Business Case
Remember: In the exam, if a scenario describes something that could add unexpected benefits or enhance project value beyond the original scope, think 'Business Opportunity Issue' as your answer.